Rule 5 - Compounding authorities of Directorate of Enforcement to compound various contraventions - Foreign Exchange (Compounding Proceedings) Rules, 2024

5. Compounding authorities of Directorate of Enforcement to compound various contraventions. - (1) If any person contravenes the provisions of clause (a) of section 3 of the Act,- (a) in a case, where the sum involved in such contravention is five lakh rupees or below, by the Deputy Director of the Directorate of Enforcement; (b) in a case, where the sum involved in such contravention is more than five lakh rupees but less than ten lakh rupees, by the Additional Director of the Directorate of Enforcement; (c) in a case, where the sum involved in the contravention is ten lakh rupees or more but less than fifty lakh rupees, by the Special Director of the Directorate of Enforcement; (d) in a case, where the sum involved in the contravention is fifty lakh rupees or more but less than one crore rupees, by the Special Director along with the Deputy Legal Adviser of the Directorate of Enforcement; and (e) in a case, where the sum involved in such contravention is one crore rupees or more, by the Director of Enforcement along with the Special Director of the Directorate of Enforcement, may compound such contravention in accordance with the provisions of these rules. (2) Nothing contained in sub-rule (1) shall apply to a contravention committed by any person within a period of three years from the date on which a similar contravention committed by him was compounded under these rules. Explanation .- For the purposes of this rule, any second or subsequent contravention committed after the expiry of a period of three years from the date on which the contravention was previously compounded shall be deemed to be a first contravention. (3) Every officer of the Directorate of Enforcement specified under sub-rule (1) shall exercise the powers to compound any contravention subject to the direction, control and supervision of the Director of Enforcement. (4) Every application for compounding any contravention under this rule shall be made in the prescribed Form to the Director, Directorate of Enforcement, New Delhi along with a fee of ten thousand rupees plus goods and services tax, as applicable, by demand draft, or National Electronic Fund Transfer (NEFT), or other permissible electronic or online modes of payment, in favour of the compounding authority.